European IP VPN Services Market - Healthcare Analysis

SUMMARY

Opportunities Galore in the European Healthcare Vertical for IP VPN Service Providers

The European healthcare market presents immense potential for information and communication technology (ICT) service providers and equipment vendors. This opportunity is increasing, especially after the Eastern European countries joined the European Union (EU). Intranet, extranet, network support for telemedicine and mobile virtual private network (VPNs) are some of the services offered by the European IP VPN service providers to the healthcare market. The future for telecom services in healthcare sector is promising, although limited budgets present in most healthcare organisations may pose a significant challenge to service providers.

This Frost & Sullivan research service provides detailed analysis on the current status of e-health plans across all major western European countries. It discusses issues that service providers need to understand in order to fully capitalise on these opportunities. The study also presents detailed analyses of service provider strategies covering their vertical focus, partnership and flexible pricing structure.

Growth of Next-Generation Broadband Networks Increases Adoption of IP VPN Services and Creates New Market Opportunities

"In the last six months, there has been rapid uptake of Internet protocol virtual private network (IP VPN) services in the European healthcare sector, especially among healthcare providers, insurance companies and government bodies," says the analyst of this research service. "Currently, the growth rate of IP VPN services in this sector is about 40 per cent, mainly driven by the increasing reliance on timely delivery of accurate and precise information."

The Lisbon European Council set out e-health initiatives, which requires the rollout of telecommunications broadband networks to promote mobility and better functioning within a market. Besides, the obvious benefits from utilising broadband networks such as, opening of great opportunities in telemedicine and telehealth services, cost reduction is one of the main reasons that hospitals deploy IP VPNs. Network consolidation around a single infrastructure and the associated set of standards results in cost savings.

Service Providers Offering Seamless Connectivity a Must to the Healthcare Industry

The basic need among healthcare organisations is inter-site connectivity. E-health, through the use of information and communications technologies, can improve access to healthcare and boost the quality and effectiveness of the services offered. European healthcare authorities are developing integrated healthcare delivery to provide seamless connectivity between primary care centres, physician practices and offices. They also intend to offer this connectivity to acute care hospitals, free-standing diagnostic centres and payer organisations.

The European IP VPN services market is highly competitive. Service providers need to adopt effective strategies, such as push and pull strategies and a vertical focus, that will gear them up to capitalise on the opportunities within the healthcare sector. "Opportunities for service providers exist in areas such as telemedicine, electronic medical records, imaging and doctors' secure remote access," notes the analyst. "Services such as IP-based video conferencing, voice over Internet protocol (VoIP) and remote access VPN have large potential to grow in the healthcare sector."

TABLE OF CONTENTS

• 1. Executive Summary
  • 1. Overview
    • 1. Key Research Findings
• 2. Introduction
  • 1. Research Background
    • 1. Research Overview
• 3. Overview of the Healthcare IP VPN Market
  • 1. IP VPN Take up in Western European Countries
    • 1. Current Status
    • 2. Healthcare ICT Value Chain
  • 2. Market Dynamics
    • 1. Market Drivers
      • a. EU e-Health Initiatives
      • b. Cost Reduction
      • c. Health Data Security Requires a Secure Network System
      • d. Giving Doctors Secure Remote Access to Health Information
      • e. More Choice for Customers
      • f. Forced Upgrade to an IP Platform
      • g. Growth of Next-Generation Broadband (DSL, Cable Modem) Networks Creates New Market Opportunities
    • 2. Market Restraints
      • a. Low Financial Allocation to ICT in Healthcare
      • b. Legacy Networks Hold Healthcare Customers in Place
      • c. Security Concerns among End-users
      • d. High Cost of CPE Equipment Causes Customer Concerns
      • e. Virtual Healthcare Environment is Far from Reality
• 4. EU e-Health Directives
  • 1. EU e-Health Initiative
    • 1. What is e-Health?
    • 2. The Blueprint
    • 3. Action Plan
• 5. Opportunities for Telecom Service Providers
  • 1. Introduction
    • 1. Overview
  • 2. Opportunities for IP VPN Deployment
    • 1. Introduction
    • 2. Hospital Information Systems
    • 3. Telemedicine
    • 4. Electronic Medical Record
  • 3. How Service Providers Should Position Themselves
    • 1. Adopt a Vertical Focus
    • 2. From Infrastructure to Services
    • 3. Technical Support
    • 4. Security Solutions
    • 5. Pricing Strategies
  • 4. What Should Service Providers Offer?
    • 1. IP VPN Service Offering Strategies for Healthcare
  • 5. Who Should Provide IP VPN Services to Healthcare Sector?
    • 1. Setbacks
    • 2. Service Providers Approach
  • 6. Partnering Strategies
    • 1. Why partner?
    • 2. Benefits
    • 3. How to partner?
• 6. Country Overview
  • 1. Introduction
    • 1. Research Overview
  • 2. Major Western European Country Healthcare IP VPN Overivew
    • 1. UK
    • 2. Germany
    • 3. France
    • 4. Italy
    • 5. Spain
    • 6. Belgium
    • 7. The Netherlands
    • 8. Scandinavia
  • 3. Conclusions
    • 1. Key Messages
• 7. Challenges
  • 1. Limited Budget of Government Spending on Healthcare
    • 1. Budget Allocation
  • 2. IT Purchasing Decision Making Has Moved Up to Top Management
    • 1. Decision Making Move up to Top Management
  • 3. High Price Sensitivity within Healthcare Sector
    • 1. High Price Sensitivity
• 8. Recommendations
  • 1. Overall Strategies
    • 1. Introduction
    • 2. Push and Pull Strategies
    • 3. Build up Strong Business Case to Demonstrate ROI
    • 4. Following a Vertical Approach
• 9. Frost & Sullivan Awards
  • 1. Introduction
    • 1. Introduction to Frost & Sullivan Awards
  • 2. Frost & Sullivan Awards
    • 1. Competitive Strategy Leadership Award
    • 2. Customer Service Innovation Award
    • 3. Growth Strategy Leadership Award
    • 4. Business Development Leadership Award

List Of Figures

Chapter 3

• IP VPN Services Market: Revenue Potential by Industry Verticals (Europe), 2004
• IP VPN Services Market: Healthcare Industry Value Chain (Europe)

Chapter 4

• IP VPN Services Market: EU e-Health Action Plan Highlights (Europe), 2005

Chapter 5

• IP VPN Services Market: Horizontal to Vertical Shift Model (Europe)

Chapter 6

• IP VPN Services Market: Healthcare Resources in Major European Countries (Europe), 2004